Vanderbilt Journal of Transnational Law


Nina J. Crimm

First Page



This Article addresses the need for a more comprehensive regulatory scheme of Australia's nonprofit organizations, particularly its private foundation type structures. By considering the strengths, and more importantly, the weaknesses of the U.S. tax regime of private foundations, Australia can avoid pitfalls that accompany the development of Australia's laws and regulations. The Article begins by exploring the history, nature, and culture of Australia's nonprofit sector. After outlining the structure of the sector, the Article focuses on the potential for abuses if prescribed private funds are not given appropriate attention to avoid such abuses. Then, the Author details the U.S. nonprofit sector. by looking briefly at the history and development of U.S. private foundations, as well as actual and perceived improprieties perpetrated throughout the regime by private individuals, nonprofit organizations, and Congress. Finally, the Article applies lessons learned from the U.S. regime to Australia. The Article concludes by discussing the need for effective regulation strategy for Australia's nonprofit sector. Such strategy, according to the Author, is essential to protect the tax base and to guard against major improprieties and scandals.